U.S. SEC Initiates Withdrawal of Crypto ETF Applications

3 mins mins

Key Points:

SEC’s new standards lead to the withdrawal of LTC, XRP, SOL, ADA, DOGE ETF applications.
Adoption of general listing standards fast-tracks crypto ETF approval.
Market reacts with increased institutional interest in cryptocurrencies.

The U.S. SEC has requested issuers of LTC, XRP, SOL, ADA, and DOGE ETFs to withdraw their 19b-4 applications, following the adoption of new General Listing Standards.

This regulatory update streamlines the ETF application process, potentially impacting market dynamics and increasing institutional interest as evidenced by recent substantial ETH purchases.

SEC Streamlines ETF Approvals Affecting Major Cryptocurrencies

The U.S. SEC has approved general listing standards for Commodity Trust Shares, leading to the withdrawal of 19 b-4 applications for LTC, XRP, SOL, ADA, and DOGE ETFs. Eleanor Terrett disclosed these changes, highlighting the transition to streamlined procedures. This initiative reflects a shift towards a more integrated regulatory framework. The shift is expected to commence as early as this week.

Industry experts recognize the broader implications of these changes. Matt Hougan described the approval as a pivotal moment, signaling the SEC’s acceptance of crypto ETPs within the mainstream financial landscape. The transition may enable quicker market entries for ETFs, reducing application timelines from 240 days to 75 days, benefiting both issuers and investors.

CEO of CF Benchmarks, Sui Chung, stated that “the new standards respond to the explosion in ETF applications, paving the way for broad adoption and enhanced market liquidity.” The SEC’s action has prompted varied responses, with institutions like BlackRock showing increased interest. Despite the withdrawal, officials and industry stakeholders remain optimistic about future potential and innovative financial products.

Historical Insights and Market Dynamics as SEC Actions Evolve

Did you know? The SEC’s new general listing standards reduce ETF approval timelines, echoing similar strategies seen in other market catalysts like the CME Bitcoin futures launch in 2017.

According to CoinMarketCap, Litecoin (LTC) currently trades at $106.82, with a market cap of $formatNumber(8156042848, 2). Over the past 24 hours, Litecoin’s price increased by 2.47%, while it saw a 0.89% rise over seven days. Despite a 2.95% decline over 30 days, a notable 26.39% growth occurred over 90 days, reflecting bullish trends driven by shifting market sentiments and institutional accumulation.

litecoin-daily-chart-17 — Litecoin(LTC), daily chart, screenshot on CoinMarketCap at 14:55 UTC on September 29, 2025. *Source: CoinMarketCap*

The Coincu research team suggests that these developments could usher in a new era of crypto ETF expansion, enhancing liquidity and increasing participation. By aligning regulatory frameworks with institutional interest, this move may catalyze market growth, driving further adoption across major cryptocurrencies.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.